Last Thursday, Amitabh Kant, CEO of Niti Aayog, said that the India fintech market is most likely to expand to $31 billion in 2020. He observed that the Indian fintech market is the fastest growing among all the other countries globally.
Kant also stated that India is the only country with more than a billion mobile connections and biometrics, providing enough scope for penetration for the fintech technology.
He went on to point out that the Indian fintech ecosystem is currently the 3rd largest globally with $6 billion in investments already injected into it in recent years.
During the event organised by Assocam, an industry body, Kant stated that “Fintech market in India is likely to expand to USD 31 billion in 2020.” He also added that the government’s role in the building the fintech ecosystem has been vital.
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Another critical point that Kant highlighted was that unlike China and USA where data owned by corporations such as Alibaba, Facebook, and Google, data is owned by the government in India.
Last month, the RBI published a vision document for payments and settlement systems in India describing the roadmap for the period 2019-21. The report outlined the RBIs plan to boost payment infrastructure such as UPI and IMPS to register an average annualised growth of more than 100% and NEFT at 40% over the three years.
RBI speculates that the number of digital transactions will increase upwards of four times in comparison to 2,069 crores in December 2018 to 8,707 crore in December 2021.
Notice: On 29 May 2019, RBI announced that banks could use Aadhar for KYC verification with the customer’s consent.